When the American people think of taxes, the acronym that immediately
comes to mind is IRS. Associated with these three letters are the audits
and spools of red tape that Americans travel through each year to earn a
temporary hiatus from government intervention into their lives. The
permanent escape from this burden of record keeping and paper pushing is
just one of the benefits reaped by replacing the current federal income tax
system with a national sales tax. Simplification of the federal
bureaucracy through a national sales tax would eliminate the need to even
have an agency such as the Internal Revenue Service. The burden of
individuals being forced to keep financial records for seven years and the
nightmare of filing annual tax returns under a complicated system of rules
few can decipher would no longer exist. In order for our country to
institute a just and ethical means of taxation, establish a secure method
for appropriating government funds, and to honestly save the taxpayer
money; the United States should initiate tax reform by eliminating federal
income tax and create an across the board federal sales tax.
The government's reliance on the current income tax system creates a
great emphasis on the appropriation of tax revenue. This collection
mentality encourages taxpayers who are in high tax rate brackets to pursue
avenues of tax avoidance by finding loopholes in the ever increasingly
complex tax code. Extremely difficult for the everyday American to
understand, the federal tax code can encourage tax evasion and avoidance by
taxpayers of all rate income levels because nearly everyone attempts to
"outsmart the system". This situation causes an economic loss by creating
extra work for the government and lost tax revenue. With the cost of
investigation and the cost of collecting money owed the federal government
rising, the amount of capital needed from taxpayers to pay for th...